Tip Top Co. is a manufacturer of escalators and elevators. The following provides information on two types of property, plant, and equipment as at the end of fiscal year 2020. E: (Click the icon to view the data.) Required Requirement a. Using the information in the problem statement, compute the depreciation that would be recorded on each of the two assets for 2021. Do not use the information in any of the subsequent requirements of this problem. Assembly-line equipment Factory building 2021 Depreciation Requirement b. At the beginning of fiscal year 2021, Tip Top conducted appraisals of these assets. The appraisals indicate that the factory building is worth $16.3 million while the equipment is worth $4,320,000. While the company has conducted regular appraisals in the past, these are the first appraisals to show significant deviations of fair value from carrying value. In other words, there have been no revaluation surpluses or losses on these assets prior to 2021. For the revaluation on the equipment, the company has chosen to use the proportional method. For the building, the company will use the elimination method. Record the journal entries to revalue these two assets at the beginning of 2021. Begin by recording the journal entry for the revaluation adjustment on the equipment using the proportional method. (Record debits first, then credits. Explanations are not Date Accounts Debit Credit Data 2021 Assembly-line equipment $7,200,000 Factory building $23,450,000 $700,000 Cost Now record the journal entry for the revaluation adjustment on the building using the elimination method. (Record debits first, then credits. Explanations are not required.) Estimated residual value nil Date Accounts Debit Credit 12 years 35 years 2021 Estimated useful life on purchase date Remaining useful life at the end of fiscal 2020 Depreciation policy Accumulated depreciation at end of 2020 8 years Straight-line $2,400,000 20 years Straight-line $9,750,000 Requirement c. Using the amounts after revaluation, compute the depreciation that would be recorded on each of the two assets for 2021. Print Assembly-line Factory Done Next Tip Top Co. is a manufacturer of escalators and elevators. The following provides information on two types of property, plant, and equipment as at the end of fiscal year 2020. : (Click the icon to view the data.) Required 2021 Requirement c. Using the amounts after revaluation, compute the depreciation that would be recorded on each of the two assets for 2021. Assembly-line Factory building equipment 2021 Depreciation (assuming revaluation at the start of 2021) Data 2021 Requirement d. At the beginning of fiscal year 2022, Tip Top conducted another appraisal, which showed a value of $13.8 million for the building and $4,006,800 for the ed (see requirement b above). Record the journal entries to revalue these two assets at the beginning of 2022. Begin by recording the journal entry for the 2022 revaluation adjustment on the equipment using the proportional method. (Record debits first, then credits. Explanations are answers to the nearest dollar.) ur final Assembly-line equipment $7,200,000 Date Accounts Debit Credit Factory building $23,450,000 $700.000 Cost 2022 nil 12 years 35 years Estimated residual value Estimated useful life on purchase date Remaining useful life at the end of fiscal 2020 Depreciation policy Accumulated depreciation at end of 2020 8 years 20 years Straight-line $2,400,000 Straight-line $9,750,000 Finally, record the journal entry for the 2022 revaluation adjustment on the building using the elimination method. (Record debits first, then credits. Explanations are not real Date Accounts Debit Credit 2022 Print Done Next Tip Top Co. is a manufacturer of escalators and elevators. The following provides information on two types of property, plant, and equipment as at the end of fiscal year 2020. E: (Click the icon to view the data.) Required Requirement a. Using the information in the problem statement, compute the depreciation that would be recorded on each of the two assets for 2021. Do not use the information in any of the subsequent requirements of this problem. Assembly-line equipment Factory building 2021 Depreciation Requirement b. At the beginning of fiscal year 2021, Tip Top conducted appraisals of these assets. The appraisals indicate that the factory building is worth $16.3 million while the equipment is worth $4,320,000. While the company has conducted regular appraisals in the past, these are the first appraisals to show significant deviations of fair value from carrying value. In other words, there have been no revaluation surpluses or losses on these assets prior to 2021. For the revaluation on the equipment, the company has chosen to use the proportional method. For the building, the company will use the elimination method. Record the journal entries to revalue these two assets at the beginning of 2021. Begin by recording the journal entry for the revaluation adjustment on the equipment using the proportional method. (Record debits first, then credits. Explanations are not Date Accounts Debit Credit Data 2021 Assembly-line equipment $7,200,000 Factory building $23,450,000 $700,000 Cost Now record the journal entry for the revaluation adjustment on the building using the elimination method. (Record debits first, then credits. Explanations are not required.) Estimated residual value nil Date Accounts Debit Credit 12 years 35 years 2021 Estimated useful life on purchase date Remaining useful life at the end of fiscal 2020 Depreciation policy Accumulated depreciation at end of 2020 8 years Straight-line $2,400,000 20 years Straight-line $9,750,000 Requirement c. Using the amounts after revaluation, compute the depreciation that would be recorded on each of the two assets for 2021. Print Assembly-line Factory Done Next Tip Top Co. is a manufacturer of escalators and elevators. The following provides information on two types of property, plant, and equipment as at the end of fiscal year 2020. : (Click the icon to view the data.) Required 2021 Requirement c. Using the amounts after revaluation, compute the depreciation that would be recorded on each of the two assets for 2021. Assembly-line Factory building equipment 2021 Depreciation (assuming revaluation at the start of 2021) Data 2021 Requirement d. At the beginning of fiscal year 2022, Tip Top conducted another appraisal, which showed a value of $13.8 million for the building and $4,006,800 for the ed (see requirement b above). Record the journal entries to revalue these two assets at the beginning of 2022. Begin by recording the journal entry for the 2022 revaluation adjustment on the equipment using the proportional method. (Record debits first, then credits. Explanations are answers to the nearest dollar.) ur final Assembly-line equipment $7,200,000 Date Accounts Debit Credit Factory building $23,450,000 $700.000 Cost 2022 nil 12 years 35 years Estimated residual value Estimated useful life on purchase date Remaining useful life at the end of fiscal 2020 Depreciation policy Accumulated depreciation at end of 2020 8 years 20 years Straight-line $2,400,000 Straight-line $9,750,000 Finally, record the journal entry for the 2022 revaluation adjustment on the building using the elimination method. (Record debits first, then credits. Explanations are not real Date Accounts Debit Credit 2022 Print Done Next